Ocean Biofuel
Real emissions reductions in just 24 hours
With an easy fuel switch, you can reduce up to 84% of your ocean freight emissions directly within your supply chain. You can cut emissions on one trade lane, multiple, or all — it’s up to you.
We take care of the rest, tracking your reductions and providing a clear monthly overview.
Don’t just plan for tomorrow — take concrete action today.
Ocean biofuel explained
Sustainably sourced
Ocean biofuel is made from certified waste and residue materials, such as used cooking oil and agricultural byproducts, ensuring minimal environmental impact.
Mass balance principle
The "mass balance" principle is a global standard for transparently and practically reducing your ocean freight emissions by deploying Biofuel. Instead of dedicating specific biofuel batches to individual shipments, the "mass balance" system allows biofuels to be blended with traditional fuels and used across a shipping fleet. The amount of biofuel is carefully tracked and accurately allocated on a shipment-level basis in proportion to the commitment made.
Easy integration
Ocean biofuel functions as a drop-in solution, blending effortlessly with existing marine fuel. This means no additional investment is required for vessels to operate efficiently with biofuel.
Real reductions, no offsetting
Unlike carbon offsetting, where emissions are compensated through external projects, ocean biofuel directly reduces CO2 emissions within your supply chain. These reductions are immediate, measurable, and verifiable — contributing directly to your sustainability targets.
FAQ about Ocean Biofuel
How much CO2e can I reduce with Ocean Biofuel?
You can achieve an 84% WtW* reduction by purchasing Ocean Biofuel as a fuel-shift solution, which counts as real reductions**. It is possible to purchase additional Ocean Biofuel up to 100%, which is considered offsetting and does not count as real reductions.
For what and where can I purchase Ocean Biofuel?
You can purchase Ocean Biofuel for all your FCL and LCL Ocean freight shipments handled by SGL. Ocean Biofuel is globally available.
How are fuel consumption and emissions avoidance calculated?
The emissions avoidance calculation is based on the Clean Cargo Initiative Emissions Accounting Methodology. This method is a standard in the shipping industry and is widely applied by carriers, freight forwarders, and shippers’ bookings.
*) Well-to-Wake
**) According to Smart Freight Centre guidelines and Science Based Targets Initiative Maritime Guidance
Do ETS CO2 charges still apply if I purchase Ocean Biofuel?
No, when you purchase Ocean Biofuel for your shipments through us, we waive the corresponding EU ETS CO2 charges. Consider this an economic incentive to integrate SGL Ocean Biofuel into your supply chain.
Does Ocean Biofuel count towards my climate targets?
Yes, by purchasing Ocean Biofuel, your WtW* emission reductions will count towards your 2030 and 2050 climate targets.
Is purchasing Ocean Biofuel greenwashing?
No. Contrary to CO2 compensation or offsetting, ocean biofuel counts as an actual reduction of your CO2 emissions, allowing you to achieve your climate targets.
Your purchase of Ocean Biofuel is verified by independent, certified third-party auditors who verify the process and ensure that reductions are not double-counted.
*) Well-to-Wake
How is the cost of Ocean Biofuel calculated?
We calculate a cost per TEU per main trade lane, which is included in our ocean biofuel customer information. For a detailed breakdown of your specific business needs, please consult your local SGL representative or contact us via oceanbiofuel@scangl.com
Is the price different depending on the destination?
The price will depend on the Port of loading and the Port of discharge, i.e., the port pair and the distance between them.
How long is a purchase price valid for?
The prices will be valid quarterly and subject to change in case of events materially changing the distance travelled overseas – for example, the Red Sea diversion around the Cape of Good Hope requiring additional distance.
Is the Ocean Biofuel burned on the vessel carrying my shipment?
Ocean biofuel is transported to a port and then used to fuel vessels. This process is based on the 'Mass Balance Principle', which means that it counts as actual CO2 reductions even though the biofuel is not burned on the ship carrying your cargo.
What kind of Ocean Biofuel does SGL use?
Only biodiesel/FAME (Fatty Acid Methyl Ester) produced from waste and residues is sourced. The fuel is compliant with the Renewable Energy Directive (RED II).
How is the Ocean Biofuel produced?
Ocean Biofuel is responsibly sourced from certified supply chains and produced from waste/residue-based material, such as brown grease or used cooking oil. It guarantees that no edible virgin oils are included in the fuel.
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